$\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|$c$|$c$|\}$

$\backslash$hline Transaction: & Net Income & Total Assets & Total Liabilities & Total Equity $\backslash \backslash$

$\backslash$hline Where can you go to find each of your answers? & & & & $\backslash \backslash$

$\backslash$hline December $1-$ Smith Engineering receives $\backslash$$$32,000$ cash from Steven Smith in exchange for common stock. & $\backslash$$ $0$ & $\backslash$$ $32,000$ & $\backslash$$ $0$ & $\backslash$$ $32,000\backslash \backslash$

$\backslash$hline December $2-$ Pays $\backslash$$$2,600$ cash for supplies. & $0$ & $32,000$ & $0$ & $32,000\backslash \backslash$

$\backslash$hline December $3-$ Pays $\backslash$$$28,000$ cash for equipment. & $0$ & $32,000$ & $0$ & $32,000\backslash \backslash$

$\backslash$hline December $4-$ Purchases $\backslash (\backslash$$ $7,300\backslash )$ of supplies on credit from a supplier. & & & & $\backslash \backslash$

$\backslash$hline December $5-$ Provides consulting services and immediately collects $\backslash$$$4,300$ cash. & & & & $\backslash \backslash$

$\backslash$hline December $6-$ Pays $\backslash$$$1,100$ cash for December rent. & & & & $\backslash \backslash$

$\backslash$hline December $7-$ Pays $\backslash$$$800$ cash for employee salary. & & & & $\backslash \backslash$

$\backslash$hline December $8-$ Provides consulting services of $\backslash$$$1,700$ and rents its test facilities for $\backslash (\backslash$$ $400\backslash ).$ The customer is billed $\backslash (\backslash$$ $2,100\backslash )$ for these services. & & & & $\backslash \backslash$

$\backslash$hline December $9-$Receives $\backslash (\backslash$$ $2,100\backslash )$ cash from the client billed on December $8.$ & & & & $\backslash \backslash$

$\backslash$hline December $10-$ Pays CalTech Supply $\backslash (\backslash$$ $1,000\backslash )$ cash toward the payable from December $4.$ & & & & $\backslash \backslash$

$\backslash$hline December $11-$ Smith Engineering pays $\backslash (\backslash$$ $300\backslash )$ cash for dividends. & & & & $\backslash \backslash$

$\backslash$hline December $12-$ Receives $\backslash (\backslash$$ $3,100\backslash )$ cash in advance of providing consulting services to a customer. & & & & $\backslash \backslash$

$\backslash$hline December $13-$ Pays $\backslash (\backslash$$ $2,500\backslash )$ cash $($insurance premium$)$ for a $24-$month insurance policy. Coverage begins on December $1.$ & & & & $\backslash \backslash$

$\backslash$hline December $14-$ Pays $\backslash$$$220$ cash for supplies. & & & & $\backslash \backslash$

$\backslash$hline December $15-$ Pays $\backslash (\backslash$$ $405\backslash )$ cash for December utilities expense. & & & & $\backslash \backslash$

$\backslash$hline December $16-$ Pays $\backslash (\backslash$$ $750\backslash )$ cash in employee salary for work performed in the latter part of December. & & & & $\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|$c$|$c$|\}$

$\backslash$hline Transaction: & Net Income & Total Assets & Total Liabilities & Total Equity $\backslash \backslash$

$\backslash$hline Where can you go to find each of your answers? & & & & $\backslash \backslash$

$\backslash$hline December $1-$ Smith Engineering receives $\backslash$$$32,000$ cash from Steven Smith in exchange for common stock. & $\backslash$$ $0$ & $\backslash$$ $32,000$ & $\backslash$$ $0$ & $\backslash$$ $32,000\backslash \backslash$

$\backslash$hline December $2-$ Pays $\backslash$$$2,600$ cash for supplies. & $0$ & $32,000$ & $0$ & $32,000\backslash \backslash$

$\backslash$hline December $3-$ Pays $\backslash$$$28,000$ cash for equipment. & $0$ & $32,000$ & $0$ & $32,000\backslash \backslash$

$\backslash$hline December $4-$ Purchases $\backslash (\backslash$$ $7,300\backslash )$ of supplies on credit from a supplier. & & & & $\backslash \backslash$

$\backslash$hline December $5-$ Provides consulting services and immediately collects $\backslash$$$4,300$ cash. & & & & $\backslash \backslash$

$\backslash$hline December $6-$ Pays $\backslash$$$1,100$ cash for December rent. & & & & $\backslash \backslash$

$\backslash$hline December $7-$ Pays $\backslash$$$800$ cash for employee salary. & & & & $\backslash \backslash$

$\backslash$hline December $8-$ Provides consulting services of $\backslash$$$1,700$ and rents its test facilities for $\backslash (\backslash$$ $400\backslash ).$ The customer is billed $\backslash (\backslash$$ $2,100\backslash )$ for these services. & & & & $\backslash \backslash$

$\backslash$hline December $9-$Receives $\backslash (\backslash$$ $2,100\backslash )$ cash from the client billed on December $8.$ & & & & $\backslash \backslash$

$\backslash$hline December $10-$ Pays CalTech Supply $\backslash (\backslash$$ $1,000\backslash )$ cash toward the payable from December $4.$ & & & & $\backslash \backslash$

$\backslash$hline December $11-$ Smith Engineering pays $\backslash (\backslash$$ $300\backslash )$ cash for dividends. & & & & $\backslash \backslash$

$\backslash$hline December $12-$ Receives $\backslash (\backslash$$ $3,100\backslash )$ cash in advance of providing consulting services to a customer. & & & & $\backslash \backslash$

$\backslash$hline December $13-$ Pays $\backslash (\backslash$$ $2,500\backslash )$ cash $($insurance premium$)$ for a $24-$month insurance policy. Coverage begins on December $1.$ & & & & $\backslash \backslash$

$\backslash$hline December $14-$ Pays $\backslash$$$220$ cash for supplies. & & & & $\backslash \backslash$

$\backslash$hline December $15-$ Pays $\backslash (\backslash$$ $405\backslash )$ cash for December utilities expense. & & & & $\backslash \backslash$

$\backslash$hline December $16-$ Pays $\backslash (\backslash$$ $750\backslash )$ cash in employee salary for work performed in the latter part of December. & & & & $\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$ This problem is based on the transactions for the Smith Engineering Company in your text. Prepare journal entries for each transaction and identify the financial statement impact of each entry. The financial statements are automatically generated based on the journal entries recorded.

December $1$ On December $1,$ Steven Smith forms a consulting business, named Smith Engineering. Smith Engineering receives $\backslash (\backslash$$ $32,000\backslash )$ cash from Steven Smith in exchange for common stock.

December $2$ Smith Engineering pays $\backslash (\backslash$$ $2,600\backslash )$ cash for supplies. The company's policy is to record all prepaid expenses in asset accounts.

December $3$ Smith Engineering pays $\backslash (\backslash$$ $28,000\backslash )$ cash for equipment.

December $4$ Smith Engineering purchases $\backslash (\backslash$$ $7,300\backslash )$ of supplies on credit from a supplier, CalTech Supply.

December $5$ Smith Engineering provides consulting services and immediately collects $\backslash$$$4,300$ cash.

December $6$ Smith Engineering pays $\backslash$$$1,100$ cash for December rent.

December $7$ Smith Engineering pays $\backslash (\backslash$$ $800\backslash )$ cash for employee salary.

December $8$ Smith Engineering provides consulting services of $\backslash (\backslash$$ $1,700\backslash )$ and rents its test facilities for $\backslash (\backslash$$ $400\backslash ).$ The customer is billed $\backslash (\backslash$$ $2,100\backslash )$ for these services.

December $9$ Smith Engineering receives $\backslash (\backslash$$ $2,100\backslash )$ cash from the client billed on December $8.$

December $10$ Smith Engineering pays CalTech Supply $\backslash (\backslash$$ $1,000\backslash )$ cash as partial payment for its December $\backslash (4\backslash$$ $7,300\backslash )$ purchase of supplies.

December $11$ Smith Engineering pays $\backslash$$$300$ cash for dividends.

December $12$ Smith Engineering receives $\backslash (\backslash$$ $3,100\backslash )$ cash in advance of providing consulting services to a customer. The company's policy is to record fees collected in advance in a balance sheet account.

December $13$ Smith Engineering pays $\backslash (\backslash$$ $2,500\backslash )$ cash $($insurance premium$)$ for a $24-$month insurance policy. Coverage begins on December $1.$ The company's policy is to record all prepaid expenses in a balance sheet account.

December $14$ Smith Engineering pays $\backslash (\backslash$$ $220\backslash )$ cash for supplies.

December $15$ Smith Engineering pays $\backslash (\backslash$$ $405\backslash )$ cash for December utilities expense.

December $16$ Smith Engineering pays $\backslash (\backslash$$ $750\backslash )$ cash in employee salary for work performed in the latter part of December.